Why rent-to-rent is the smart way to go electric

Crucially, the rent-to-rent model changes the conversation, shifting the focus away from perceived barriers and firmly onto the business value electric machines can deliver today.

The business case for electric machines is already clear

Electric machines deliver immediate, commercial benefits.

Lower running costs, particularly in an environment of volatile fuel prices, combined with reduced maintenance requirements result in a lower total cost of ownership, improved uptime, and more predictable operating expenses.

At the same time, electric machines unlock new ways of working. Quieter, low-vibration performance improves site conditions and extends working hours, while zero-exhaust emissions open access to urban, indoor and low-emission projects, where diesel machines simply cannot operate as effectively, or at all.

Rent-to-rent unlocks that value

Volvo CE’s rent-to-rent model enables contractors to put these benefits into action. By removing the burden of ownership, customers can realize value from day one, without committing capital or taking on long-term risk. Costs become predictable and aligned with actual usage, protecting cash flow and making planning easier.

Flexibility is built in. Fleets can scale up or down as demand shifts, ensuring machines are always working where they add value, without the risk of assets sitting idle.

Keeping pace with technology

Electric technology is advancing rapidly, particularly in battery performance, charging time and machine capability. A traditional ownership model locks businesses into a single machine asset. Rent-to-rent removes that constraint.

Customers benefit from ongoing access to the latest machines and improvements as they become available, keeping fleets efficient, up-to-date and competitive without repeated capital reinvestment.

Operational reliability is also strengthened. With servicing, maintenance and support typically included, risk is reduced, unplanned downtime is minimized and the customer can stay focused on delivering projects. 

As Bertrand Collette, Head of Site Solutions Oceania at Volvo CE, explains: “What customers are really looking for is a way to capture the benefits of electrification without taking on unnecessary risk. Rent-to-rent allows them to move forward now—on their terms—while staying flexible as the technology continues to evolve.”

Proven in the field

The model is already delivering results.

In New Zealand, PermaPine—one of the country’s largest timber processors – is using a Volvo L120 Electric wheel loader across multiple applications on its 24/7 Taupo site, from log handling to plant operations. 

As Operations Manager, Ian Potter, explains: “I’ve been pleasantly surprised. It’s responsive, has good lifting capabilities, great visibility from the cab and is comfortable. It’s working well in our application, and we’re enjoying using it.”

Similarly, Fulton Hogan - one of Australia and New Zealand’s largest infrastructure contractors, is using the L120 Electric in demanding real-world environments.

Their five-year commitment to the Volvo L120 Electric highlights both the capability of the machines and the strength of the rent-to-rent model. At PermaPine, one machine has already surpassed 3,700 operating hours in high-intensity operations, proving both its reliability and performance.

As Bertrand Collette adds: “We’re seeing customers use these machines in ways that go far beyond initial expectations. From forestry to construction, the versatility is there—and with the right model in place, they can maximise utilization and unlock real business value.”

A smarter path forward

Electric machines are no longer a future concept. They are proven, practical and delivering today.

Rent-to-rent is what makes that value accessible. It allows businesses to act now, scale with confidence and stay aligned with a rapidly evolving technology landscape, without the constraints of ownership.

Real progress, however, depends on strong local partnerships – working closely with our retail partners TDX in New Zealand and CJD Equipment in Australia to ensure customers have the support, expertise and infrastructure needed to make electrification work in practice.